Here's what you need to know when driving in New Mexico
Across the Land of Enchantment, there are 142,940 miles of road just waiting to be driven. The average car insurance rate in New Mexico is $1,375 per year — around 10% less than the U.S. average. Car insurance rates are impacted by more than just your location. Auto insurance rates comprise many factors, including a driver's age and driving history. The Zebra's experts analyzed average New Mexico car insurance rates for these rating factors in an effort to help you find an affordable policy.
Read on to learn how much auto insurance costs in New Mexico based on these variables, or submit your ZIP code above to receive personalized insurance quotes from top companies.
The best car insurance companies in New Mexico
Based on data from J.D. Power's 2021 Auto Satisfaction Study and The Zebra's Customer Satisfaction Survey, we have compiled a list of the best car insurance companies in New Mexico.
Along with topping The Zebra's Customer Satisfaction Survey, USAA received a score of 863 (out of 1,000) in J.D. Powers' 2021 U.S. Auto Insurance Study for the state of New Mexico.
As a highly-rated regional carrier, American Family scored an 850 on J.D. Power's 2021 auto study and a 4.3 stars out of 5 on The Zebra's Customer Satisfaction Survey.
State Farm placed third in this region with a score of 847 in J.D. Power's 2021 Auto Insurance Study. This carrier also received 4.4 stars out of 5 in The Zebra's Customer Satisfaction Survey.
The cheapest car insurance companies in New Mexico
These companies offer the cheapest rates in the following scenarios.
The cheapest rates are from USAA at $1,164 annually, or $97 per month.
For teen drivers in New Mexico, GEICO is the cheapest on average.
If you have a DUI on your record, check out State Farm for the cheapest average rates.
Dynamic auto insurance data methodology
Methodology: The auto insurance rates displayed above and throughout this page are dynamic, meaning the data will refresh when the most recent information is made available. Rates are based on a sample driver profile — a 30-year-old single male driver with a Honda Accord and full coverage. This profile was adjusted based on common pricing factors used by major car insurance companies, like age, coverage level, driving record and others.
New Mexico auto insurance laws
Car insurance is mandatory in almost every state, including New Mexico. If you choose the legal minimum coverage level in New Mexico, expect to pay an average of $459 annually.
If you choose the legal minimum coverage level in New Mexico, expect to pay an average of $459 annually.
State minimum coverage
In order to drive legally in the state of New Mexico, you must carry at least the minimum liability limits listed below:
- Bodily Injury $25,000 per person
- Bodily Injury $50,000 per accident
- Property Damage $10,000 per accident
Optional coverage in New Mexico (varies by carrier):
- Loan/Lease Payoff
- Medical Payments
- Rental Car Reimbursement
- Roadside Assistance
- Uninsured/Underinsured Motorist Bodily Injury
- Uninsured Motorist Property Damage
If you opt for better coverage, you can choose a policy with comprehensive and collision, which will protect against the costs of car accidents, theft, vandalism, or weather incidents. But better coverage comes with a cost: in New Mexico, a comprehensive insurance policy with a $1,000 deductible costs $1,212, 154% more than liability-only car insurance. For a comprehensive policy with a $500 deductible, expect to pay 213% more than you would for basic coverage.
In New Mexico, a comprehensive insurance policy with a $1,000 deductible costs $1,212, 154% more than liability-only car insurance.
Compare car insurance rates from the best companies in New Mexico.
New Mexico car insurance premiums by rating factor
Your rates are determined by a number of individual factors, including your coverage level, driving history, location, and more. Explore average premium costs by rating factor below to get a better sense of how much you should be paying for auto insurance in New Mexico.
Cheap auto insurance in New Mexico for minimum coverage
Drivers who choose the minimum amount of coverage required by the state of New Mexico can expect to pay an average of around $23 per month. However, with this rock bottom price comes a tradeoff: both you and your vehicle would be at risk of being underinsured. Still, if minimum coverage is what you're after, check out the rates from popular carriers below.
Cheap auto insurance in New Mexico with bad credit
Your credit history is an important factor in determining your car insurance rates. Many carriers see those with a poor credit score as being higher risk, meaning you could pay more for your policy. On average, New Mexico drivers with poor credit pay around $2,199 for coverage, 80% more per year than those with exceptional credit. Have a look at some common rates by credit tier below.
Cheap auto insurance in New Mexico with an at-fault accident
Your driving history plays a big part in how much you pay. Insurance companies look for previous accidents for which you have been at fault to gauge the level of risk you pose as a customer. An at-fault accident in recent years could see your car insurance rates increase by as much as 43%.
Safe driver discounts
In addition to having a cheaper premium, some companies offer a safe driving discount. While the amount varies based on your company, it can range between 5 and 10%.
Cheap auto insurance for young drivers in New Mexico
Young drivers — aged between 16 and 25 — pay very high car insurance rates, with those aged 16 to 19 paying the most expensive premiums of all. Because of the risk presented by inexperienced drivers, teen drivers pay more than three times the national average for car insurance. In New Mexico, teen drivers pay especially high rates: $4,551 per year — more than $3,000 more than the nationwide average and 231% more than a typical New Mexico driver.
New Mexico auto insurance rate by violation
In New Mexico, a bad driving record will cause your rates to skyrocket. If you receive a ticket or citation, your auto insurance premiums will probably rise. By how much depends on the violation, your insurer's pricing standards, and differing local insurance regulations and risks. That's why tickets may have a different impact on insurance in your state compared to the national average.
See below average auto insurance rates in New Mexico after a few common citations.
|Accident/Violation||Avg. Annual Premium||% Rate Increase||$ Rate Increase|
|One Med/PIP claim||$1,642||1%||$15|
|One comp claim||$1,695||4%||$67|
|Two Med/PIP claims||$1,736||7%||$108|
|Two comp claims||$1,789||10%||$161|
|Failure to show documents||$1,811||11%||$183|
|Failure to wear a seat belt||$1,823||12%||$195|
|Driving without lights||$1,824||12%||$196|
|Child safety restraint||$1,871||15%||$243|
|Driving with expired registration||$1,889||16%||$261|
|In 65 MPH zone||$1,914||18%||$286|
|Cell phone violation||$1,929||19%||$301|
|Texting while driving||$1,929||19%||$301|
|Speeding 16 - 20 MPH over limit||$1,944||19%||$316|
|Speeding 6 - 10 MPH over limit||$1,944||19%||$316|
|Speeding 11 - 15 MPH over limit||$1,944||19%||$316|
|Driving too slowly||$1,951||20%||$323|
|Speeding in school zone||$1,951||20%||$323|
|Wrong way/wrong lane||$1,952||20%||$324|
|At-fault accident - less than $1000||$1,955||20%||$327|
|Following too closely||$1,963||21%||$335|
|Failure to stop at a red light||$1,963||21%||$335|
|Failure to yield||$1,963||21%||$335|
|Operating a vehicle without permission||$1,984||22%||$356|
|Passing school bus||$1,986||22%||$358|
|Speeding 21 - 25 MPH over limit||$2,021||24%||$394|
|At-fault accident - $1000-$2000||$2,279||40%||$652|
|At-fault accident - greater than $2000||$2,297||41%||$669|
|Driving with a suspended license||$2,947||81%||$1,320|
|Refusal to submit to a chemical test||$2,981||83%||$1,353|
|Leaving scene of an accident/hit and run||$3,215||98%||$1,587|
New Mexico DUI laws
In New Mexico, a DUI offense can increase your annual car insurance premium by an average of 91%. That’s almost $1,500 dollars more per year than the state average. Finding affordable auto insurance in the wake of a DUI violation isn’t simple. In fact, a DUI often brings about a bigger premium increase than any single road violation — more than an at-fault accident, racing, or reckless driving.
Low-cost car insurance after a DUI in New Mexico
If you're convicted of a DUI or DWI violation in New Mexico, it’s key to mull over each of your insurance choices carefully. Auto insurance premiums following a DUI can vary substantially by insurer. For example, the least expensive car insurance company with a DUI in New Mexico, State Farm's annual rates are significantly less than the statewide average insurance rate with a DUI, coming in a full 48% lower. The second-cheapest insurer for auto insurance after a DUI in New Mexico is Progressive, while the priciest firm is Allstate, with prices 9% above average.
There is no car insurer in particular that offers cheap DUI car insurance. The recommended way to save in the wake of a DUI citation is to shop around.
New Mexico SR-22 insurance
An SR-22 is a routine legal requirement triggered by a violation such as a DUI conviction, a ticket for driving without insurance, an at-fault collision, driving with a suspended license, or accumulating too many points on your license. It is not a type of insurance policy, but a form issued by your insurance company to ensure that you remain insured. Most states require an SR-22, but New Mexico is one exception. The state of New Mexico does not require you to file an SR-22 in order to apply for insurance.
If you move from a state that requires an SR-22 to a state that does not, you will typically still need to follow the requirements of the state that first required you to file an SR-22.
Find an affordable policy in New Mexico in minutes!
Rates by city
Car insurance companies calculate your rate based on many factors, the location of the vehicle being an important one. Among New Mexico's largest cities, the cheapest car insurance is found in Las Cruces, New Mexico, and the most expensive in Albuquerque, New Mexico.
Have a look at the table below to see average car insurance costs in some of New Mexico's other biggest cities.
Car insurance price trends in New Mexico
In New Mexico, average annual auto insurance costs increased by $101 in the past year. A typical New Mexico driver pays an average of $1,375 per year.
The recent pricing trend in New Mexico leans toward slightly pricier car insurance costs but remains lower than the national average. The steepest decrease occurred from 2017 to 2018, while the highest surge took place from 2016 to 2017. At the same time, car insurance rates across the United States have stayed relatively steady in the past few years, moving from $1,521 in 2018 to $1,529 in 2021.
|Year||Avg. Annual Premium — New Mexico||Yearly Change — New Mexico||Avg. Annual Premium — US||Yearly Change — US|
If your rates are rising faster than the average in your state, compare quotes and find a better deal. The Zebra's car insurance comparison engine furnishes quotes based on your specific profile — enter your ZIP below to get started.
New Mexico car insurance FAQs
Below you'll find answers to some of the most commonly asked questions regarding New Mexico auto insurance.
Who actually has the cheapest car insurance in New Mexico?
For our average user profile, State Farm ($611) and USAA ($582) have the cheapest car insurance in New Mexico.
Is car insurance cheaper in New Mexico?
Rates in New Mexico are about average compared to the rest of the U.S. Our data suggest New Mexican drivers pay 10% less per year than do drivers in the rest of the U.S.
Is New Mexico a no-fault state for car insurance?
No — New Mexico is currently an at-fault state. Meaning at-fault drivers must pay for the bodily injury damages they cause to other people.
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About The Zebra
The Zebra is not an insurance company. We publish data-backed, expert-reviewed resources to help consumers make more informed insurance decisions.
- The Zebra’s insurance content is written and reviewed for accuracy by licensed insurance agents.
- The Zebra’s insurance content is not subject to review or alteration by insurance companies or partners.
- The Zebra’s editorial team operates independently of the company’s partnerships and commercialization interests, publishing unbiased information for consumer benefit.
- The auto insurance rates published on The Zebra’s pages are based on a comprehensive analysis of car insurance pricing data, evaluating more than 83 million insurance rates from across the United States.